(MENAFN- Trend News Agency)
BAKU, Azerbaijan, November 4. The upcoming
COP29 conference in Azerbaijan presents an opportunity for Georgia
to attract international investment in green technologies and
sustainable projects, said Konstantin Limitovskiy, Asian
Infrastructure Investment bank (AIIB) Vice President, in an
exclusive interview with Trend .
In anticipation of the upcoming COP29 conference, the AIIB VP
highlighted the Caucasus region's significant role in fostering
inter-regional trade and economic cooperation. "The Caucasus,
located at the crossroads of Europe and Asia, contributes
significantly to inter-regional trade and economic cooperation and
offers further potential for cross-border connectivity,"
Limitovskiy stated.
He emphasized the importance of strategic investments in green
and technologically advanced infrastructure, which can strengthen
ties between neighboring countries. "These investments facilitate
the movement of goods, services, and people, ultimately fostering
economic integration," he noted.
Limitovskiy also pointed out the region's potential for
developing digital infrastructure. "As the world becomes
increasingly reliant on technology, investing in digital
connectivity and modernizing communication networks can unlock new
avenues for growth, trade, and innovation," he explained. He
assured that AIIB is keen to help the region become more digitally
interconnected both internally and with the rest of Asia. "This
will enable efficient information exchange and support economic
development," Limitovskiy added.
The AIIB VP further highlighted the opportunity presented by
COP29 for Georgia to attract international investment in green
technologies and sustainable projects. "The increased focus on the
Caucasus during COP29 will also boost eco-tourism and highlight
Georgia's environmental initiatives," Limitovskiy said, emphasizing
the potential benefits of the conference for the region.
Limitovskiy expressed confidence that these initiatives, coupled
with AIIB's support, could lead to transformative outcomes for the
Caucasus region. "We believe that the strategic investments made
today will lay the groundwork for a more sustainable and prosperous
future".
Further, the VP also spoke about the newly completed Batumi
Bypass Road project in Georgia, which had a transformative impact
on regional connectivity in the Black Sea and Caspian areas.
Describing the project as a "major milestone", Limitovskiy noted
the road's importance not only for Georgia but for strengthening
transit routes across these regions.
The Batumi Bypass Road, a 14-kilometer, two-lane highway
featuring 20 bridges and five tunnels, reroutes traffic around the
city, significantly easing congestion. "The completion of the
Batumi Bypass Road is a major milestone not only for Georgia but
for connectivity in the Black Sea and Caspian region," said
Limitovskiy.
Designed to international road safety standards, the bypass
incorporates advanced features like a comprehensive lighting
system, ensuring safer passage for vehicles. According to the VP,
"Before the bypass, traffic - including international transit -
passed through residential and tourist zones, causing congestion
and disrupting daily life". Now, with this route open, Batumi and
nearby areas experience less congestion, enhancing daily life for
residents and improving tourist experiences in the Adjara
region.
The road, which begins in Makhinjauri and ends in Khelvachauri,
provides essential links for surrounding villages to connect with
Batumi. Four transport nodes connect these villages to the city and
provide direct access to Batumi's main thoroughfares, further
supporting local communities. "Together with the Kobuleti bypass,
the Batumi Bypass alleviates this pressure," added Limitovskiy.
In addition to local benefits, the bypass strengthens
international routes by enhancing transit along the West-East
European Route (E70), which stretches from Spain to Poti, Georgia.
"The bypass boosts cargo capacity and facilitates increased transit
along the E70," the VP emphasized, highlighting the road's role in
bolstering trade between Western and Eastern Europe while promoting
tourism and cultural exchanges.
The project was made possible by a $99 million investment from
AIIB, supplemented by co-financing from the Asian Development Bank
(ADB) and the Georgian state budget. "The successful completion of
the Batumi Bypass underscores AIIB's dedication to supporting
infrastructure that drives economic growth and regional
connectivity," said Limitovskiy.
Meanwhile, to date, AIIB has approved five significant projects
in Georgia, totaling nearly $400 million, including the recently
completed Batumi Bypass Road. "Together with the Government of
Georgia, we are also preparing the Tbilisi Metro Modernization
Project," Limitovskiy stated. "This initiative will enhance the
efficiency, reliability, and sustainability of the metro system
through the acquisition of modern rolling stock."
In response to the COVID-19 pandemic, AIIB took proactive
measures by providing financing aimed at strengthening Georgia's
public health preparedness. Additionally, the bank collaborated
with TBC Bank to deliver liquidity to small and medium-sized
enterprises (SMEs) affected by the economic downturn, aiding the
country's recovery from the pandemic's adverse effects.
Highlighting the commitment to sustainability, AIIB invested $16
million in the issuance of sustainability bonds by Georgia Capital
JSC in the Georgian capital markets, aimed at supporting green
investments. "Our partnership with the Government of Georgia dates
back to the very first year of AIIB operations and has been key to
the success of major infrastructure projects, including the Batumi
Bypass Road," Limitovskiy remarked.
He acknowledged the crucial roles played by the Ministry of
Finance, the Ministry of Regional Development and Infrastructure,
and the Roads Department in overcoming challenges, particularly
during the global pandemic. "The Batumi Bypass demonstrates how
effective this collaboration can drive transformative
infrastructure projects that enhance local and regional
connectivity," he added.
Looking ahead, Limitovskiy reaffirmed AIIB's commitment to
collaborating closely with the Georgian government on future
initiatives. "We aim to ensure that post-construction activities
are completed with a focus on environmental and social
sustainability. We look forward to expanding our sovereign and
non-sovereign portfolios in Georgia, further enhancing the
country's and the region's economic potential".
AIIB's dedication to the Caucasus region is evident, with plans
to expand its operations significantly in the coming years. "We
foresee growing energy demands that will require increased
generation capacity, particularly from renewable energy sources,"
he noted, emphasizing the bank's focus on sustainable economic
development.
The VP highlighted AIIB's mid-term strategy, which aims to
facilitate and expand green, technologically enabled
infrastructure, describing it as "infrastructure for tomorrow".
"We look forward to working with the federal and regional
governments, the private sector, and other stakeholders to develop
projects that will contribute to a more prosperous, inclusive, and
sustainable future for the region," Konstantin Limitovskiy
concluded.
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